Kerala High Court
M/S. Ozone Ventures vs State Of Kerala on 30 October, 2024
Author: P Gopinath
Bench: P Gopinath
2024:KER:80946
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE GOPINATH P.
WEDNESDAY, THE 30TH DAY OF OCTOBER 2024 / 8TH KARTHIKA, 1946
WP(C) NO. 19314 OF 2024
PETITIONERS:
1 M/S. OZONE VENTURES,
DOING BUSINESS UNDER THE TRADE NAME,
HOTEL KINGS EMPIRE, 67/1187,
NEAR ERNAKULAM NORTH RAILWAY STATION,
ERNAKULAM NORTH, REPRESENTED BY ITS MANAGING
PARTNER, SHRI BISSIN T. KUMAR, AGED 48 YEARS,
S/O. LATE KUMARAN, MANI MANDIRAM, MURAVANTHURUTHU,
VADAKKEKKARA P.O., VADAKKEKKARA VILLAGE,
PARAVUR TALUK, ERNAKULAM DISTRICT, PIN - 682 018.
2 BISSIN T. KUMAR,
AGED 48 YEARS, S/O.LATE KUMARAN,
MANI MANDIRAM, MURAVANTHURUTHU, VADAKKEKKARA P.O.,
VADAKKEKKARA VILLAGE, PARAVUR TALUK,
ERNAKULAM DISTRICT, PIN - 683 513.
BY ADVS.
VARGHESE C.KURIAKOSE
AMRITHA.J
KURUVILLA MATHEW
RESPONDENTS:
1 STATE OF KERALA,
REPRESENTED BY COMMERCIAL TAX DEPARTMENT,
SECRETARIAT, THIRUVANANTHAPURAM, PIN - 695 001.
2 THE COMMISSIONER (ENFORCEMENT),
KERALA STATE GOODS SERVICE TAX DEPARTMENT,
8TH FLOOR, TAX TOWER, KILLIPPALAM, KARAMANA P.O.,
THIRUVANANTHAPURAM, PIN - 695 002.
3 THE JOINT COMMISSIONER (ENFORCEMENT),
KERALA STATE GOODS SERVICE TAX DEPARTMENT,
8TH FLOOR, TAX TOWER, KILLIPPALAM, KARAMANA P.O.,
THIRUVANANTHAPURAM, PIN - 695 002.
2024:KER:80946
WP(C) 19314/2024 2
4 THE DEPUTY COMMISSIONER,
KERALA STATE GOODS SERVICE TAX DEPARTMENT,
(TAX PAYER SERVICE DIVISION), ERNAKULAM NORTH,
SGST, PERUMANOOR P.O., KOCHI, PIN - 682 015.
BY ADV. JASMIN M M (GP)
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION
ON 30.10.2024, THE COURT ON THE SAME DAY DELIVERED THE
FOLLOWING:
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WP(C) 19314/2024 3
JUDGMENT
The 1st petitioner is a partnership firm and the
2nd petitioner is its Managing Partner. The partners of the
1st petitioner, including the 2nd petitioner, were running a
bar attached hotel, namely 'Hotel Kings Empire', at
St.Benedict Road, Ernakulam North. There were defaults
committed by the petitioners in filing the monthly and
annual returns under the provisions of the Kerala General
Sales Tax Act, 1963 (hereinafter referred to as the
'KGST Act') for the period from July 2022 till May 2024. As
a result of the default, proceedings have been initiated to
assess the liability of the 1st petitioner for each of the
defaulted periods.
2. The learned Government Pleader submits that the
assessment for the year 2022-2023 is over and the
1st petitioner has been assessed as being liable to Kerala
Goods and Services Tax (KGST) for a sum of Rs.1,39,03,258/-
(including penalty). It is submitted that the proceedings for
the year 2023-2024 propose the imposition of a liability of
2024:KER:80946
Rs.1,78, 90,740/- and for the months of April and May of
2024, there is a proposal to fix the liability at Rs.22,36,342/-
for each of the months.
3. The learned counsel appearing for the petitioners
submits that pursuant to the interim direction issued by this
Court on 10-10-2024, the petitioners have remitted a sum of
Rs.10,07,000/- (approximately) towards the liability. It is
submitted that the petitioners may be permitted to pay off
the liability in some instalments and may also be permitted
to contest the assessments, which are yet to be concluded,
and also to contest any demand for penalty in accordance
with the law.
4. Having heard the learned counsel for the petitioners
and the learned Government Pleader and having regard to
the facts and circumstances of the case and considering the
fact that the petitioners have proved bona fides by remitting
a sum of Rs.10,07,000/- this writ petition will stand disposed
of permitting the petitioners to pay the total amount
assessed as due, including penalty for the year 2022-2023
and the amount proposed to be imposed for the year
2024:KER:80946
2023-2024 and for the months of April and May of 2024 in
eight (08) equal monthly instalments commencing from
29-11-2024. The subsequent instalments shall be paid on or
before the last working day of the succeeding months. It will
be open to the petitioners to challenge the order of
assessment or any order imposing penalty for the year
2022-2023 and also to contest the demand for tax/penalty in
any proceedings pending for the year 2023-2024 and for the
months of April and May 2024. As a result of the above
directions, Ext.P18 notice issued by the Bank, freezing the
bank account of the 1st petitioner, will stand withdrawn. If
any default is committed by the petitioners in paying the
amount, it will be open to the respondents to continue with
the recovery proceedings, including taking steps for
attaching the bank accounts of the petitioners. I make it
clear that I have not expressed any opinion on the merits of
the matter.
Sd/-
GOPINATH P.
JUDGE
ats
2024:KER:80946
APPENDIX OF WP(C) 19314/2024
PETITIONER'S EXHIBITS
Exhibit P1 TRUE PHOTOSTAT COPY OF THE CERTIFICATE OF
REGISTRATION ISSUED TO THE PETITIONERS BY THE
COMMERCIAL TAX DEPARTMENT OF THE IST RESPONDENT
Exhibit P2 TRUE PHOTOSTAT COPY OF THE COMMUNICATION ISSUED
ON 11.05.2023 FROM THE OFFICE OF THE 4TH
RESPONDENT
Exhibit P3 TRUE PHOTOSTAT COPY OF THE TAX PAYERS COUNTER
FOIL INDICATING PAYMENT OF AN AMOUNT OF
RS.5,97,775/- DATED 25.05.2023
Exhibit P4 TRUE PHOTOSTAT COPY OF THE TAX PAYERS COUNTER
FOIL INDICATING PAYMENT OF AN AMOUNT OF
RS.40,403/- DATED 23.05.2023
Exhibit P5 TRUE PHOTOSTAT COPY OF THE REPRESENTATION
SUBMITTED TO THE 2ND RESPONDENT DATED
03.06.2023
Exhibit P6 TRUE PHOTOSTAT COPY OF THE ACKNOWLEDGMENT CARD
SIGNED FROM THE OFFICE OF THE 2ND RESPONDENT
Exhibit P7 TRUE PHOTOSTAT COPY OF THE REPRESENTATION
SUBMITTED TO THE 3RD RESPONDENT DATED
03.06.2023
Exhibit P8 TRUE PHOTOSTAT COPY OF THE ACKNOWLEDGMENT CARD
SIGNED FROM THE OFFICE OF THE 3RD RESPONDENT
Exhibit P9 TRUE PHOTOSTAT COPY OF THE REPRESENTATION
SUBMITTED TO THE 4TH RESPONDENT DATED
03.06.2023
Exhibit P10 TRUE PHOTOSTAT COPY OF THE INDIA POST TRACK
RECORD PERTAINING TO THE DELIVERY OF
REPRESENTATION TO THE 4TH RESPONDENT
Exhibit P11 TRUE PHOTOSTAT COPY OF THE FRESH NOTICE DATED
04.05.2024 ISSUED BY THE 4TH RESPONDENT
Exhibit P12 TRUE PHOTOSTAT COPY OF THE RECEIPT DATED
17.05.2024 ISSUED BY THE 4TH RESPONDENT
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Exhibit P13 TRUE PHOTOSTAT COPY OF THE REPLY-CUM- REQUEST
TO THE 4TH RESPONDENT DATED 17.05.2024
SUBMITTED BY THE PETITIONERS
Exhibit P14 TRUE PHOTOSTAT COPY OF THE ACKNOWLEDGMENT CARD
SIGNED BY THE 4TH RESPONDENT
Exhibit P15 TRUE COPY OF THE REPRESENTATION DATED
29.06.2024 SUBMITTED BY THE PETITIONERS BEFORE
RESPONDENTS 3 AND 4
Exhibit P16 TRUE PHOTOSTAT COPY OF ORDER PASSED ON
14.05.2024 BY THE DEPUTY COMMISSIONER, TAX
PAYER SERVICES DIVISION, ERNAKULAM NORTH, 4TH
FLOOR,GST COMPLEX, THEVARA P.O.PERUMANOOR,
KOCHI-682015
Exhibit P17 TRUE PHOTOSTAT COPY OF DEMAND NOTICE DATED
27.06.2024 ISSUED BY COLLECTOR/AUTHORISED
OFFICER, DEPUTY COMMISSIONER (ARREAR RECOVERY),
OFFICE OF THE JOINT COMMISSIONER, TAX PAYER
SERVICES, ERNAKULAM.
Exhibit P18 TRUE PHOTOSTAT COPY OF NOTICE ISSUED FROM BANK
DATED 23.09.2024 TO THE PETITIONERS
Exhibit P19 TRUE COPY OF THE CHALLAN DATED 21.10.2024 FOR
RS.4,85,705
Exhibit P20 TRUE COPY OF THE CHALLAN DATED 24.10.2024 FOR
RS.5,11,547/-
Exhibit P21 TRUE COPY OF THE CHALLAN DATED 24.10.2024 FOR
RS.10,000/-
